Food inflation in negative zone for 4th month in a row

RETAIL FOOD INFLATION remained in the negative zone for the fourth consecutive month in September at (-) 2.28%, largely driven by subdued prices of vegetables, cereals, pulses, meat, eggs and spices.

- SANDIP DAS

Food inflation was in the negative zone in June (-1.01%), July (-1.76%) and August (-0.64%).

The consumer food price index (CFPI) declined 0.49% sequentially in September compared to August.

In September last year, the food inflation rate was at 9.24%.

The inflation in the vegetable category was (-) 21.38% last month, compared to (-) 15.92% in August.

However, edible oil and fruit inflation remained high at 18.34% and 9.93 % respectively last month.

Madan Sabnavis, chief economist, Bank of Baroda said, “Food inflation has been pushed down by vegetables and pulses which have registered negative growth of 21% and 15% respectively.”